Singapore-Based Thunes Launches Cash Pickup Service With Ethiopian Bankby Company Announcement August 5, 2020
Singapore-based Thunes, a cross-border payment provider, has partnered with Lion International Bank (LIB) to launch a cash pickup service in Ethiopia.
Presently, Thunes facilitates the transfer of remittances to Ethiopia via Hello Cash wallets and bank accounts. Through the partnership, funds recipients can now collect cash from over 260 LIB branches across the country.
Peter De Caluwe, CEO of Thunes commented,
“The partnership will enable Thunes to increase remittance options available to Ethiopians, and extend our reach in the country. This is a significant step towards improving financial access for underserved segments of the population, such as the unbanked and rural communities.”
Ethiopia is a high remittance-receiving country, and this can be attributed to the country’s large diaspora community. According to the International Organization for Migration, migrant remittances accounted for more than 5% of Ethiopia’s GDP and a quarter of the country’s foreign exchange earnings.
While Ethiopia has taken steps to reform its financial sector, the financial landscape still presents a significant gap to financial inclusion. The country lags behind other African nations in banking accessibility where data from the World Bank indicates that the percentage of adults with a bank account stands at approximately 35%.
The introduction of cash pickup as a remittance option by LIB is especially important for Ethiopia, given the country’s high unbanked population, low mobile money account penetration and dominance of cash in the economy.
LIB’s CEO, Getachew Solomon said,
“Lion International Bank strives to reach the underbanked society through its HelloCash wallet and its HelloCash agent banking service throughout the country. The partnership with Thunes is a golden opportunity for us due to its nature of accessibility through transfer cash pick up, HelloCash wallet service and bank account.”
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